Pipeline co Delek Logistics slides on $200 mln equity offering

Delek US Holdings

13/08/2026 13:10

** Shares of Delek Logistics Partners DKL.N down 12.2% at $52.66 premarket on Thurs after $200 mln follow-on priced
** Tennessee-based midstream master limited partnership (MLP) early Thurs announced 4 mln common units at $50
** Offering size boosted from $175 mln and priced at 16.7% discount to stock's last close
** Co intends to use net offering proceeds to repay its revolver, and for general partnership purposes
** Truist, Mizuho and Raymond James joint bookrunners
** Co's parent, oil refiner Delek US Holdings DK.N, did not buy units in offering; as a result, Delek Holdings' ownership reduced by 5% to 58%
** The MLP has ~53.2 mln common units outstanding
** Through Weds, DKL up 34% YTD
** Avg rating of 5 analysts is "hold"; median PT $56, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))